2008-07-25

Rogers iPhone: Bait and Switch

If Ted Rogers was honest he wouldn't be so rich. I've come to the conclusion that I'll never be as rich as Ted Rogers because I'm too honest.
 
For example, if I was advertising a product for $299, I wouldn't charge $350.
 
But that is what greedy Ted is doing. The company he controls advertises on rogers.com that the iPhone 16GB can be had for $299 and that various price plans are available. In fact, the site even says that the phone is available with any in market price plan. Sounds good.
 
Show up at the store, opt for a $20 price plan (with or without the $30 extra for data), and they will let you have the iPhone for $249 for the 8GB or $349 for the 16GB. That is $50 more than advertised! I was showed an official looking internal interpretive memo as "proof" that the vendor was being honest. Obviously, nothing on the web site even eludes to the $50 surcharge. Although the web site does have the bizarre warning that you will be penalised $50 if you lower your plan below $30 during the 3 year contract. That warning makes more sense now that I know the higher iPhone price for below $30 per month users.
 
Price Plan Downgrade Fee
If you have subscribed to an iPhone Voice & Data Package or a Voice Price Plan with a Monthly Service Fee of more than $30, then a Price Plan Downgrade Fee of $50 will be applied to your invoice if, for any reason, you change to a Price Plan with a Monthly Service Fee of $30 or less at any time during the Service Agreement Term.
 
Still, in my mind that should not apply to people who opt for, and keep, the $30 data plan. Surely, charging $30 for data over three years would allow enough room to subsidise the iPhone and sell it for the advertised $299.
 
But what do I know, I'm not a greedy billionaire.

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